Citigroup: Lower Weigao's target price to 6 Hong Kong dollars, lower revenue and profit forecasts.

Citigroup released a research report stating that Weigao Group's revenue in 2025 is expected to increase by 2.3% to 13.389 billion yuan, while its net profit is expected to decline by 22% to 1.612 billion yuan, which is lower than the bank and market expectations by about 2% and 1% respectively. Management reiterated their commitment to shareholder returns, maintaining a 50% dividend payout ratio. Management expects price stabilization, new product launches, and deeper expansion into overseas markets in 2026 to drive annual revenue growth of 4% to 8%. Citigroup has lowered its revenue forecasts for the next two years by 5.2% and 8.1% respectively, and lowered its earnings per share forecasts by 36% and 37%. They have also lowered their target price from 7.5 Hong Kong dollars to 6 Hong Kong dollars, while maintaining a "buy" rating.